Half a billion to replace South Africa's looted ATMs

[Hanno Labuschagne]

Half a billion to replace South Africa's looted ATMs

South Africa’s major banks are expected to spend millions on replacing hundreds of ATMs damaged or destroyed during looting earlier this month.

Speaking during a media briefing on Thursday, the Banking Association of South Africa (BASA) managing director, Bongiwe Kunene, outlined the banking sector’s plans to restore services to affected areas.

Looters damaged or destroyed around 1,400 ATMs and 269 bank branches during multiple days of unrest in parts of KwaZulu-Natal and Gauteng.

 

[RVFmal]

Here's a novel idea. Don't replace them.

A bit of an inconvenience to those who (used to) use them. But the community have spoken. RET has no need for such infrastructure..

 

[R13...]

Here's a novel idea. Don't replace them.

A bit of an inconvenience to those who (used to) use them. But the community have spoken. RET has no need for such infrastructure..

The business case must still make sense for them to be replaced.

 

[RVFmal]

The business case must still make sense for them to be replaced.

No denying that. And the costs passed on to the client in the way of higher banking fees eventually.

 

[Milano]

No denying that. And the costs passed on to the client in the way of higher banking fees eventually.

We got those higher charges

 

[bwana]

No denying that. And the costs passed on to the client in the way of higher banking fees eventually.

Surely they're insured (Sasria) and the replacement cost will be covered.

Not that we wont experience higher banking fees anyway.

 

[Sinbad]

Surely they're insured and the replacement cost will be covered.

Not that we wont experience higher banking fees anyway.

Premiums go up

You pay for that.

 

[bwana]

Premiums go up

You pay for that.

Sasria premiums are pretty low anyway, my banking fees, not so much.

 

[Milano]

Surely they're insured and the replacement cost will be covered.

Not that we wont experience higher banking fees anyway.

Only if you want to believe that insurance covers 100% of the replacement cost, 100% of the cash within and also magically covers the lost revenue to date.

 

[bwana]

Only if you want to believe that insurance covers 100% of the replacement cost, 100% of the cash within and also magically covers the lost revenue to date.

What percentage of the costs will it cover?

 

[Milano]

What percentage of the costs will it cover?

I would estimate a substantial shortfall on replacement costs, zero or near zero on the cash and zero on the lost revenues.

 

[now05ster]

Nicely done

 

[bwana]

I would estimate a substantial shortfall on replacement costs, zero or near zero on the cash and zero on the lost revenues.

Why would they not pay out on the cash? There would be records of the exact amounts of cash the ATMs contained.

When I insure an item I do so for the replacement costs. Would a bank not do the same? Or does Sasria not provide for such?

 

[Vrotappel]

Sasria premiums are pretty low anyway, my banking fees, not so much.

Get into ebucks, my bank pays me to bank with them.

 

[Milano]

Why would they not pay out on the cash? There would be records of the exact amounts of cash the ATMs contained.

When I insure an item I do so for the replacement costs. Would a bank not do the same? Or does Sasria not provide for such?

Cash cover is usually contractually limited due to the inherent high risk nature of cash. The banks are in a position to pressure government to cover the cash because government failed in its basic mandate to suppress the riots in an effective, timely manner. Government needs the banks to restore services to the looted areas so the banks have a greater chance of pressuring government to come to the party than the average farked citizen who gets trampled over daily.

 

[Vrotappel]

Well still 10s of millions in Rands and 1 million ammo rounds looted for the ANC. We should all be extremely worried.

 

[bwana]

Get into ebucks, my bank pays me to bank with them.

I earn ebucks - just not enough of them.

 

[blah99]

Just don't replace them. It's what the people wanted.

 

[markings]

Here's a novel idea. Don't replace them.

A bit of an inconvenience to those who (used to) use them. But the community have spoken. RET has no need for such infrastructure..

Certainly if there were more than one, even from different banks, replace it with a single one. Preferably with one from the bank with the fewest clients so that almost everyone will have to pay the interconnect fee. That is fair, isn't it?

 

[bwana]

Certainly if there were more than one, even from different banks, replace it with a single one.

Saswitch fees would have to be eradicated and not just waived until the end of September.